People 11

Communities 13

Innovation 17

Infrastructure and Planning 21

Natural Resources 25

Public Comment 30

North West Region 32

Eastern Region 35

Mid West Region 39

South West Region 45

Kimberley Region 48

About CME The Chamber of Minerals and Energy of Western Australia (CME) is a persuasive industry voice, adding value to our member companies in a dynamic and increasingly complex operating environment.

As the champion of the Western Australian resource sector, we actively promote policies and initiatives that can facilitate the achievement of the industry’s vision to lead the world in sustainable practice through innovation and underpin Australia’s position in the global economy.

With our policy expertise spanning industry and research activities, occupational safety and health, education and training, the environment, exploration, Indigenous affairs and workforce development, CME provides members and stakeholders with an avenue for extensive collaboration on industry matters.

CME’s member companies generate 95 per cent of all mineral and energy production and employ 80 per cent of the resources sector workforce in the State. With this breadth of industry representation within our membership, our advocacy is well informed and highly regarded, with a mandate to maintain substantial government and community support for the resources sector.

We are a strong advocate for the sector’s growth and contribution to the State’s prosperity, through fostering relevant and responsive engagements with stakeholders, proactively promoting and raising community awareness of the industry, and encouraging the development of sustainable and innovative industry practices

CME’s key pillars include: People, Communities, Innovation, Infrastructure and Planning, and Natural Resources.

Our work in these areas supports our members’ dedication to maintaining Western Australia’s reputation as a prosperous and globally signifi cant resource province which is well positioned to continue to deliver important opportunities for the community, now and into the future. This report highlights some of the key work CME has completed under each of these key pillars.

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President’s Report In my fi rst year as CME President, our industry has hit some signifi cant milestones. The value of Western Australia’s mineral and petroleum industry reached a record high of $101.2 billion in 2010–11 and in December 2011 total direct mining employment surpassed 100,000 people for the fi rst time. These numbers represent the signifi cant growth we have seen over the past 12 months. Working with CME and our broad membership, I have had the opportunity to be involved in some great initiatives which are supporting our industry to uphold this growth.

Promoting equality and opportunity in the resource sector, CME has spent the past year working on several exciting projects to further increase the participation and employment of under-represented groups within our workforce. The highly successful Indigenous Leaders Program, Fast Track Program, Women in Resources Awards and the WA Resource Sector Diversity Survey have all assisted in showcasing the industry’s commitment to workplace diversity, as well as celebrating the people who help to make our industry the success it is today. Coinciding with International Women’s Day in March, the Women in Resources Awards breakfast is CME’s biggest annual function. CME is proud of how far the event has come since it was launched just three years ago - and we are delighted that it is now a prestigious event which showcases the achievements of inspirational women working in WA’s resources sector. In March 2012 we were joined by more than 900 guests to recognise the winners of this year’s awards.

Another highlight - and indeed a WA fi rst - was CME’s new Indigenous Leadership Program, which has provided four indigenous employees with scholarships to enable them to undertake further

training in frontline management. Funded by the Resource Training for Australia fund, this innovative new program is focused on helping indigenous employees make the transition into leadership roles. In early 2012, CME, with the support of our members, completed the fi rst survey of the WA resources sector aimed at gauging the number of female employees and indigenous employees. With the resources industry already the largest employer

of indigenous people in the state, the revealing data uncovered by the WA Resource Diversity Survey highlights the efforts being given to increasing workforce diversity for both female employees and indigenous employees.

The Western Australian resource sector prides itself on its commitment to the safety of its workforce. CME has provided an avenue for members to share best practice and has sourced experts in workplace health and safety to present at a number of working groups over the past year. Safety took centre stage in Eastern and South West WA in 2011, with fi ve regional safety forums providing a platform for professionals from within our membership base to meet and discuss issues. There has also been a lot of work on the harmonisation of the Model Work Health and Safety legislation. CME has closely reviewed the various draft regulations and codes of practice as they have been released, and has often called on input from members.

Given our industry’s focus on the health and safety of those who work in our industry, the CME has again sought to promote ways of sharing information about the best practice measures in this area. The main avenue for this is our Occupational Health and Safety Conference, held annually in March. In 2012 the theme of ‘Leading Safety in Changing Environments’ explored the role of technology in the workplace

and its impact on safety. Thanks to the support and sponsorship of industry leaders, the 2012 Occupational Health and Safety Conference was a great success.

Representing CME alongside Chief Executive Reg Howard-Smith, I had the opportunity to once again attend the Miners Memorial in Kalgoorlie. Families, politicians and members of industry attended the annual memorial in December to pay tribute to miners who have lost their lives while working. This moving occasion presented an opportunity to remember those workers who had passed away, as well as commend the fact that no mining deaths were recorded in the Eastern region over the past year.

Global players make up a large proportion of Western Australia’s resource industry and while we welcome and nurture these companies and their innovative business practices, it’s important for international companies to support the local communities in which they operate. Increasing local content has been a major focus for CME during the year, and we have met with the State and Federal government regarding their local industry participation initiatives. In addition, a joint study with the Australian Petroleum Production and Exploration Association has meant CME gained a deeper understanding of the current level of local industry participation in the sector, as well as current and future threats and opportunities. As a result, CME has presented data and recommendations regarding local content to both levels of government, and is looking forward to continuing our support of local content in WA’s resources industry.

CME’s regional tours provide a key avenue for engagement with stakeholders, allowing us to provide members of Government and the media with a deeper understanding of the resource sector by experiencing it fi rst-hand. In late 2011, CME facilitated tours for high level guests such as the Hon Tony Abbott MP, Hon Malcolm Turnbull MP, Hon Julie Bishop MP, delegates of the Commonwealth Treasury as well as State Government and key media representatives.

The exciting, productive and innovative year that has past would not have been possible without the WA community, whose ongoing support of the state’s resource sector is very much appreciated. We are striving to work closer with the local communities and all the people of WA who make our operations possible and to make sure the benefi ts of the unprecedented resource industry growth are invested in WA for the future development of our great State.

Greg LilleymanPresident

5 6

Another outcome of CME’s work over the course of the year was the success of our government and industry working group which was set up to facilitate the negotiation for local government rating, in relation to the rates mining and resource companies are required to pay on current and future projects. As a result, a mutually acceptable valuation methodology on resource infrastructure was developed, ensuring certainty, fairness and uniformity to the resources sector.

CME represented the WA mining industry at the annual Prospectors and Developers Association of Canada Convention in Toronto. This convention has become one of the largest in the world for our industry, so Western Australia’s presence is essential.

CME worked with the Association of Mining and Exploration Companies to host a presentation room, opening conversation around Australian investment.

Continuing our international engagement, CME assisted the Honorary Consul of Germany to host a Parliamentary delegation on their visit to Perth. The collaboration was another step toward building business relationships between Germany and Australia, particularly in the Lithium and Rare Earths industries where there is scope for future investment.

In closing, I would like to thank the entire team at CME for making the past year such a productive and successful period as we work towards ensuring the future success and development of our minerals and energy sector. We encourage our team, our members and the WA community to seize this great opportunity and strive to make the most of this exciting stage in our State’s growth.

Reg Howard-SmithChief Executive

Chief Executive’s Report The past year was a busy and productive one for the team at CME, complete with its share of challenges, opportunities and exciting prospects for the future of the WA resources sector.

The year began with the release of the update to our fl agship advocacy document, the State Growth Outlook. A major project for CME, the publication once again raising necessary government, media and public awareness of WA’s future people, energy and water needs for the resources sector. The 10 year forecast and vision for growth is an instrumental tool in generating recognition and understanding of the state’s requirements, which are deemed essential to support community, industry and sustainable growth. In 2012 CME will undertake an update to this publication, again collating new data from member companies.

In partnership with KPMG, we also launched our new regular quarterly publication, the Resources and Economics Report, which has received positive feedback as well as generating substantial media interest. A valuable tool for members, the reports give a clear and detailed snapshot of how the sector is performing over the previous three months and allow policy makers to develop policies based on current trends.

There has been much discussion on fl y-in fl y-out (FIFO) as a viable work practice in the Western Australian resource sector. Coming from all over WA and increasingly also from interstate, FIFO workers have made a personal choice to take up a roster that suits their lifestyle. This work practice is a sustainable choice for regional and remote communities enabling access to a fl exible and skilled workforce. A Federal Government inquiry into FIFO over the past year gave CME the opportunity to publicly support this work practice on behalf of our members and their employees. CME was able to highlight how the right model can create sustainable regional populations and bring diversity to the economy. Furthermore, CME discussed the benefi ts of FIFO operations in stimulating local investment in services and how people from all over WA and Australia can engage and benefi t from the economic

opportunities offered by the resources sector. The resource sector must offer choice to be sustainable; choice of FIFO and choice to live and work in a non-metropolitan town which provides the services to attract families.

The introduction of the Federal Government’s Minerals Resource Rent Tax (MRRT) and the expansion of the Petroleum Resource Rent Tax (PRRT) continue to cause concern for our industry. CME has always maintained a strong preference for retention of the current State royalty regime, administered by the State Government and with revenues fl owing to the State. The State has prime responsibility for resource project approvals and the provision of non-privately owned infrastructure. As such, it is imperative the State Government maintains and receives a dividend for WA resources. CME maintains its belief the implementation of the MRRT must not adversely impact the Australian minerals and energy sector’s international competitiveness. Over the year, every effort was made to minimise any detrimental features of the tax as it passed through Parliament. CME’s main focus is now assisting members to work through implementing the MRRT/PRRT changes.

Increasing investment and protecting our resources sector is a primary concern, not only for our members but for the economic health of our state. We acknowledge the need for global action to reduce the scale of human induced climate change and support substantial investment of industry in a broad range of low emissions technologies. The Federal Government’s Carbon Pricing scheme was a major focus of CME’s advocacy efforts over the past 12 months, essentially because of the potential threat which it poses to Australia’s global competitiveness in the mineral and energy industries. With the Clean Energy Bill passed in the Upper House in November 2011 and the carbon tax coming into effect on 1 July 2012, CME believes the introduction of carbon pricing in Australia is effectively shooting WA’s strong resource sector in the foot.

Synthetic drugs were a key issue which featured heavily in the media and public opinion in early 2011. Cannabis-style drugs, such as Kronic, were of particular concern in the resources sector and posed a considerable threat to the health and safety of workers. CME’s highly effective advocacy efforts around the sale and possession of Kronic were infl uential in shaping the legislation surrounding synthetic drugs. As a result, WA was the first Australian state to ban the substance, an outcome CME is particularly proud of.

7 8

Executive CouncilPenny Walsh, Shell Development (Australia) Proprietary Limited

Patrick Warrand, Premier Coal Limited

Kevin Watters, API - The Australian Premium Iron Joint Venture *

Richard Weston, Gold Fields Australia Pty Limited *

Colin Williams, Cliffs Natural Resources

Chief Executive

Reg Howard-Smith, CME

Directors (ex-offi cio)

Damian Callachor, CME

Nicole Roocke, CME

As of 6 December 2011 * Absent from photograph

Management Committee

Greg Lilleyman,

Rio Tinto Limited

Michael Feehan,

Barrick (Australia Pacifi c)

Ian Ashby,

BHP Billiton Iron Ore

Kim Horne,

Alcoa of Australia

Nick Bowen,

Macmahon Contractors

Glenn Kellow,

BHP Billiton Stainless Steel

Graeme Rowley,

Fortescue Metals Group

Rob Cole,

Woodside Energy

President

Greg Lilleyman, Rio Tinto

Vice Presidents

Ian Ashby, BHP Billiton Iron Ore * (Represented by Julius Matthys)

Nick Bowen, Macmahon Contractors Pty Ltd

Rob Cole, Woodside Energy Ltd * (Represented by Roger Martin)

Michael Feehan, Barrick (Australia Pacifi c) Limited *

Kim Horne, Alcoa of Australia Ltd *

Graeme Rowley, Fortescue Metals Group Limited

Councillors

Phil Allsopp, Sinosteel Midwest Corporation Limited

Peter Bamford, Dominion Mining

Russell Clark, Grange Resources Limited *

Jason Cooke, Minara Resources Limited *

Alan Coutts, Xstrata Nickel Australasia

Steve Cowle, Newcrest Mining Limited *

Anthony Cribb, Dampier Bunbury Pipeline *

Peter Fairclough, Chevron Australia *

Mike Ferraro, Doral Minerals Sands Pty Ltd

Ricus Grimbeek, BHP Billiton Worsley Alumina *

Darren Hall, Newmont Asia Pacifi c *

Glenn Kellow, BHP Billiton Stainless Steel *

Steven Keyser, Leighton Contractors Pty Ltd

Sunil Kulwal, Aditya Birla Minerals Ltd (Australia)

John Langoulant, Oakajee Port and Rail

Libby Lyons, CITIC Pacifi c Mining

Andrea Maxey, AngloGold Ashanti Australia Ltd

Tim Netscher, Gindalbie Metals Ltd

Brian Reilly, Cameco Australia Pty Ltd *

Peter Senini, Bauxite Resources

Gary Sutherland, Flinders Mines Ltd *

Mike Sutton, Downer EDI Mining

Collis Thorp, Moly Mines Limited *

Jim Walker, WesTrac Pty Ltd *

9 10

12

People: without them, our sector simply wouldn’t exist This year CME has spearheaded a range of new and innovative developments to overcome the current labour and skills shortages being experienced in Western Australia. Our focus has been on implementing a range of measures which seek to tackle the future predictions for labour requirements.

Throughout the year, CME has worked in collaboration with a number of resource industry bodies to transform CME’s careers website peopleforthefuture.com.au into a national career information portal for the resources sector. This initiative resulted from a recommendation by the National Resource Sector Employment Taskforce and has involved collaboration with the Queensland Resources Council (QRC) and the Minerals Council of Australia.

This website is focused on providing detailed and relevant information to school leavers, parents, university graduates and individuals considering a career change into the resources sector. With a greater level of interactive content and using social media tools, this website is now the major career portal for Australians of all ages who are considering a career in our sector.

CME has partnered with the QRC to launch a national interactive website oresomeresources.com which is aimed at teachers who require materials for lessons relating to the minerals and energy sectors. As WA moves towards adopting a national curriculum, this interactive web-based resource will support and better equip teachers, in addition to students, throughout our state.

During September, CME launched its annual Women in Resources Awards, which attracted a record number of nominations. The award ceremony is held in March each year to coincide with International Women’s Day, with more than 900 people attending the award breakfast in 2012. CME is proud this program has gone from strength to strength since it was fi rst launched in 2009, and that it now provides a platform to showcase the achievements of women working in WA’s resource sector. Previous recipients of the awards have been recognised as industry role models and have become highly sought-after keynote speakers. Their experience, motivation and expertise have been an inspiration to others in the industry.

In a first for WA, CME has launched an Indigenous Leadership Program which provided four scholarships to Indigenous employees working in the sector to enable them to undertake further training in frontline management. This new Indigenous Leadership Program is funded by the Resource Training for Australia fund, which receives contributions from companies needing to demonstrate a training commitment to the Department of Immigration and Citizenship (DIAC). Launched in December 2011, this innovative new program is focused on helping Indigenous employees transition into leadership roles within our sector.

With the apparent growth of the resource sector workforce, CME continues to work closely with the DIAC. Our Industry Outreach Offi cer is positioned to support member companies looking to the international skilled labour pool to fi ll their workforce requirements. Through this partnership, CME and DIAC have provided information to both employers and potential employees at conferences and exhibitions both locally and internationally.

CME has remained focused on the issues that matter most to members. When synthetic drugs hit the headlines in the form of Kronic, threatening the safety of our workers, our immediate response was to organise a forum involving key industry and government speakers. CME was heavily involved in the subsequent legislation implemented as a result of this issue. As an organisation we were very pleased to support our members throughout this time, and to assist government and other

stakeholders to work through this to swiftly fi nd a solution.

CME was pleased to provide expertise to a number of working groups in relation to workplace health and safety. This has included the short and long-term health and safety effects relating to hazardous occupational exposures to noise, chemicals and diesel particulates, and principal hazards such as falls from height and vehicle incidents. Indeed, CME members have been at the forefront in developing processes relating to the prevention of these risks.

To support this ongoing work, CME hosts the annual Occupational Health and Safety Conference. The 2012 conference, held in March, was themed ‘Leading Safety in Changing Environments’. This topic opened discussions around the ever-increasing use of technology and what this means to the safety of our workforce. The conference provided a valuable opportunity for delegates to share ideas and information. As part of the conference, the Innovation Awards were presented, recognising best practice in three major areas: people, engineering and systems. CME would like to thank the industry leaders who have sponsored or supported the conference for their ongoing commitment to ensuring the safety of our industry.

CME has undertaken an in-depth review of the new national workplace health and safety regime implemented in each jurisdiction through consistent legislation based on an agreed model. CME strongly supports the harmonisation of work health and safety laws across Australia but believes the necessary time should be taken to ensure it conforms to best practice. CME successfully advocated deferring the implementation of the new harmonised regime until due time was taken to review the requirements. CME held numerous workshops and meetings to discuss the draft documentation and members provided valuable feedback.

11 12

Communities: Collaboration, communication and partnerships CME’s members are committed to supporting and engaging with communities throughout regional Western Australia to assist in their growth and prosperity.

In early 2012 CME completed the fi rst WA Resource Sector Diversity Survey, producing significant data to benchmark the number of Indigenous employees and female employees in the resources sector. The WA resource sector continues to be the largest private sector employer of Indigenous Australians, with 4.2 per cent of our employees of Indigenous decent. Increasing the representation of this minority group is a key goal for the sector.

The survey also found that 22 per cent of the workforce are female, an increase of 3 per cent since our last research in 2008. This growth is positive, but indicates there is a huge opportunity for the industry to encourage the participation of more women, particularly in non-traditional roles. CME’s current programs such as the Women in Resources Awards and the Indigenous Leadership Program recognise and support the companies and individuals who are already working to improve the diversity of the industry.

In addition, CME and the Resources Industry Training Council have commenced the Indigenous Fast Track pilot project. The project was created to encourage the participation of Indigenous women in the workforce, by providing training and support. The 11 participants completed a six week pre-employment program in Perth. Following this introductory program, participants commenced employment as trainees with either Rio Tinto or Macmahon, undertaking a Certifi cate II in Surface Extraction Operations. The success of the pilot project will be monitored and reviewed, with a view to developing an ongoing, sustainable program.

Fly-in fl y-out (FIFO) employment has become a critical element of maintaining a viable resources sector workforce as the industry is challenged by signifi cant tightening in the skilled labour market. On behalf of members, CME has advocated the view that FIFO employment has had a long history, remains a popular and sustainable work practice and is very much an issue of employee choice.

Much work was undertaken throughout the year to develop a major submission which was presented to the House of Representatives Standing Committee on Regional Australia’s Inquiry into FIFO. CME’s submission highlighted the many positive elements associated with FIFO workers, and the importance of a FIFO workforce to our member organisations. CME worked with a number of communities which are keen to establish themselves as ‘source communities’ for a FIFO workforce. CME also continues to develop ongoing relationships with organisations in the community who are focused on supporting families with a partner working on a FIFO roster.

With the positive growth of Western Australia comes the ongoing development of vibrant regional centres, which provide a great place to work and to live.

The aspirations for in-town FIFO developments were featured in an advocacy document A Matter of Choice: Capturing the FIFO Opportunity in Pilbara Towns published in early 2012. The publication was a result of collaboration between the Pilbara

13 14

Industry’s Community Council (PICC) and member company, Creating Communities. This document addresses a range of topical issues including the facts behind the growth of FIFO, the different needs of construction and operational FIFO employees and the actions PICC companies are taking to provide a balance between residential and FIFO workforces in Pilbara towns.

It also articulates current practice and new directions for the establishment of in-town FIFO developments in the Pilbara that will hold both industry and the broader community in good stead as the sector continues to expand over the next decade.

Still in the North West, the Pilbara Health Initiative (PHI) has been effectively supporting local communities. The PHI is a fi ve-year partnership between the State Government’s Royalties for Regions program and CME’s PICC. Local residents have benefi ted from increased medical services and networks, and an increase in Indigenous employment and training.

15 1615 16

Innovation: finding best practice solutions for future challenges In 2011 CME celebrated 100 years of hosting emergency response challenges for member companies. Held in Kalgoorlie and involving mining, resources and emergency response personnel from across the State, in addition to individuals from New Zealand and Chile, this major annual Eastern Region event showcased world-class techniques and attracted more than 500 viewers.

With safety fi rmly established as the foremost priority for all of our members, CME also facilitated bi-monthly regional safety forums during 2011. These provided opportunities for CME members to collaborate and share their knowledge in relation to improving health and safety performance and outcomes. In total, fi ve regional forums were held throughout eastern and south-west WA.

In what has been a signifi cant body of work for our organisation, the Federal Government’s Carbon Pricing Mechanism (CPM) has been a major focus for CME advocacy over the past 12 months. Following the release of the policy and the associated draft legislation, CME worked quickly to develop a number of submissions which detailed members’ views on the issue.

At the same time, we worked collaboratively with the Minerals Council of Australia (MCA) on a number of joint industry body submissions which were also lodged with the Federal Government. Members of the CME team entered into discussions at Federal and State levels to minimise detrimental aspects of the legislation as it progressed through Parliament.

Following the legislation being passed towards the end of 2011, CME has continued to work with stakeholders to ensure the Federal Government is made fully aware of the views held by CME’s members. As an organisation, we are now focused on assisting industry to prepare for the implementation of

the CPM within their business models and systems. In an effort to progress a dialogue around the

impact of climate change, CME hosted an industry breakfast with Professor Tim Flannery and fellow members of the Australian Climate Commission in August. The event provided a lively discussion around the science of climate change and the research which had been undertaken on the impacts on the Western Australian environment.

In September, CME held a Reduce and Renew seminar which included a series of presentations from industry and government. This seminar provided an opportunity for industry to showcase current initiatives being rolled out to reduce carbon and greenhouse gas emissions, and proved valuable to members and stakeholders who were not previously aware of the steps being taken by the industry to mitigate these issues. This furthered CME’s work to increase understanding within the broader community about the operations of the resource sector.

CME’s leadership of the Minerals Research Program has continued, working to secure State Government investment towards strategic research and development across the state.

CME has advocated this investment in the future capability of the industry is required to demonstrate State commitment to the industry and to ensure the industry remains globally competitive. The funds could be contributed to the research and improvement of, for example, water management, energy use, system automation and exploration.

17 18

3,347 101,100

22%Media reports generated by CME on behalf of the industry in 2011

direct employees in the Western Australian resources sector**

of the Western Australian resources sector workforce is female*

Sources:

*CME’s 2011 workforce diversity survey**ABS release, December 2011

Infrastructure and planning: focusing on growth for the future With the State’s resources sector performing strongly and an unprecedented project development pipeline set to drive further growth, infrastructure capacity constraints loom as a key issue and central element of CME’s advocacy agenda.

With this in mind, the second edition of the State Growth Outlook was released in April 2011. First released in 2009, the study provides a forecast and vision for growth which focuses on the core areas of people, energy and water. The 2011 Report attracted signifi cant media interest, particularly around the predicted labour requirements. As our industry rapidly continues to expand, a further update to this report is underway. CME, in partnership with PricewaterhouseCoopers, is working closely with member companies to gauge their future requirements in these key areas.

CME has long called for the development of a comprehensive State energy policy, so providing a resources sector perspective to the Strategic Energy Initiative (SEI) has been a key priority. CME lodged a series of submissions and reiterated the resource sector’s energy policy priorities through the SEI Industry Reference Group. It has been an ongoing process over the past few years as our Energy Reference Group continues to pursue member companies’ energy interests and advocate for the development of a state energy policy to address issues of energy security, domestic gas and energy supply.

In addition, the Minerals Resource Rent Tax (MRRT) has been a priority for CME’s advocacy at both a federal and state level over the past year. CME has always maintained a strong preference for retention of the current State royalty regime, administered by the State Government and with revenues fl owing to the State. The State has prime responsibility for resource project approvals and the provision of non-privately owned infrastructure. As such, it is imperative the State Government maintains and receives a dividend for WA resources. A number of submissions relating to the draft legislation were developed, focused on minimising

the detrimental aspects of the legislation as it continued its passage through Parliament. Submissions were lodged when the Federal Government initially released the exposure draft legislation for public comment prior to being introduced into Parliament. In addition to the individual submission, CME also worked collaboratively with the Minerals Council of Australia in developing a number of joint industry body submissions. Despite this activity, legislation was passed towards the end of 2011 in the Lower House, and passed through the Upper House early in 2012. As a result, CME has focused on assisting members with the necessary activity involved with the implementation of the tax.

21 22

A key achievement for CME was successfully leading a joint government and industry working group to facilitate the negotiation for local government ratings, in relation to the rates mining and resource companies are required to pay on current and future projects. As a result, a mutually acceptable valuation methodology on resource

infrastructure was developed, which has subsequently become policy. A three year trial is now set to commence on 1 July 2012, which CME believes will provide certainty, fairness and uniformity to the resources sector.

Further focus has been placed on what is termed ‘local content’ during the year, which has seen CME undertake ongoing liaison with both the federal and state government relating to their local industry participation initiatives. These initiatives included the Buy Australian at Home and Abroad scheme and the Australian Industry Participation Framework Review, in which CME participated via submissions and direct engagement with ministers and stakeholders. Following the commissioning of a joint study with the Australian Petroleum Production and Exploration Association (APPEA), CME has gained deeper

understanding of the current level of local industry participation in the resources sector as well as the underlying threats and opportunities to increase participation. As a result of this body of work, CME has presented data and a number of recommendations to both federal and state governments, and has remained focused on infl uencing the initiatives being developed by both levels of government.

During the year, CME responded to a public submission in relation to determining royalty rates for uranium, vanadium and magnetite minerals. Submissions were developed in consultation with several other industry bodies, including the Australian Uranium Association and the Australian Mining Industry Council, outlining CME’s recommendations in relation to the royalty rates for these minerals.

CME, in partnership with KPMG, continued to publish the Resources and Economics Report, which outlines key economic data relating to the resources sector. Published on a quarterly basis, this report has become a valued resource for members seeking a detailed overview of the WA economy over the previous quarter.

Throughout the year, CME’s Mining Securities Working Group has been actively involved in discussions with government to fi nalise a policy for the establishment of a Mine Rehabilitation Fund to replace the current environmental bonds system. The new fund, destined for implementation in 2014, will see industry providing a contribution based on mine closure liabilities. CME will remain focused on advocating for members’ interests in this area.

During 2011, CME conducted an analysis of the social and project infrastructure needed in both the Mid-West and the Kimberley over the next 20 years. In partnership with WorleyParsons and Geraldton Iron Ore Alliance in the Mid-West and working with Ernst & Young in the Kimberley, CME has constructed an integrated picture of the infrastructure needed to support the resources sector in these regions.

Access and capacity issues at the State’s ports continue to pose a potential threat to the resources sector reaching its full potential. CME highlighted the need for effi cient and effective governance structures for port authorities as part of the State Government’s Port Governance Review in August – particularly the need for these organisations to maintain an unerring focus on their trade facilitation objective. CME also worked closely with members to respond to port specifi c issues, including facilitating the Independent Esperance Trade Group and the Esperance Nickel Exporters Group.

Signifi cantly, at the end of 2011, CME released its Approvals Reform Implementation Report, which detailed government progress in relation to reforming the current environmental approvals system. The report has provided CME with the information to advocate to government for the improved effi ciency and effectiveness of the current system, in order for WA to remain an internationally attractive investment destination. As a result, our Approvals Working Group recommended action to streamline the approvals system by establishing a single decision-making authority, while still retaining a fair, accountable and transparent system with strong environmental rigour.

23 24

Natural Resources: boosting the sustainability of WA’s resource developments CME contributed to a range of state and federal review processes in relation to the development of key pieces of new legislation around water management. With Water Management and Water Services Bills going through State Parliament in 2011, CME has undertaken an integral role throughout the consultation process to support WA meet its commitments under the Federal Government’s National Water Initiative.

The Non-Government Organisation (NGO) Industry Environment Forum is a CME-led initiative which has focused on improving relations and partnerships between industry and environmental groups since 2008. In December 2011 the collaborative forum travelled to the South West, examining the issues of mine rehabilitation and closure. A group of 12 participants conducted a two day visit to BHP Billiton’s Beenup mine rehabilitation, Iluka’s mineral sands operations surrounding Capel and a rehabilitated Premier Coal mine site. The tour gave NGO’s the opportunity to see fi rst-hand the environmental management steps taken by the resources sector. The overarching purpose of the forum is to create a mutual understanding of environmental issues, develop relationships and discuss reform and advocacy of environmental issues.

25 26

A central issue for CME throughout the year was the Federal Government’s response to Dr Allan Hawke’s independent review of the Environment Protection and Biodiversity Conservation Act 1999 (EPBC Act), as part of a broad package of reforms for Australia’s national environment law. The Federal Government response to the review saw the release of an EPBC Act Biodiversity Policy, EPBC Act Offset Policy and Cost Recovery Proposal for environmental approval and regulation - all of which were open for consultation. CME collaborated with the Minerals Council of Australia (MCA) in responding via submissions to these discussion papers.

CME also engaged with government after an announcement early in 2011 of a review of the Aboriginal Heritage Act led by Dr John Avery, Director of Indigenous Heritage Law Reform. CME has worked closely with Dr Avery and the Director General of the Department of Indigenous Affairs (DIA), Mr Cliff Weeks, throughout the process.

Following concerns from our members, CME established the Native Title and Aboriginal Heritage Working Group in May. Forming part of the Land Access Committee, the Group is committed to working innovatively through issues of Aboriginal heritage and seeking opportunities for reform.

The Native Title and Aboriginal Heritage Industry Liaison Committee was established following meetings with the DIA and the Department of Premier and Cabinet. The Committee aims to improve dialogue between industry and government, identify areas that could benefi t from reform, and provide an avenue for high level discussions and effective cross-departmental communication.

27 28

of the Aboriginal Heritage Act. CME remains open to examining opportunities which improve administrative processes around the Act.

In May, CME developed a submission in response to the Rangelands Tenure Options Discussion paper. The Reform Program is a key land access issue and one which CME has closely engaged with. In addition, CME facilitated an opportunity for members to meet with Hon. Wendy Duncan MLC, Parliamentary Secretary to the Minister for Regional Development; Lands to discuss the Rangelands lease – an outcome of the Program.

In 2000 CME endorsed Aboriginal heritage principles, which aimed to assist members in their dealings with Aboriginal people on heritage matters. CME has undertaken a process to review, refresh and revise these principles to offer the most up-to-date way to progress heritage consultations and assessments, while fostering good relationships with Aboriginal groups and minimising the possibility of disturbing heritage sites. The updates were fi nalised in early 2012.

CME developed a submission in partnership with MCA and other state industry bodies, on reforms to the Greens Native Title Amendment Bill. The submission, which opposed the Bill and called for more comprehensive consultation, was presented to the Senate Inquiry. CME briefed members of parliament to ensure they had a comprehensive understanding of our members’ views in regard to the legislation and policy change.

CME was successful in preventing the fi nalisation of the State Government’s Guide on the Register of Places and Objects. The proposed changes to the Guide would have entrenched the existing shortcomings within the criteria for listing a site on the Register. Following a submission from CME, the State Government advised it would not progress with the changes to the document, and it’s review would be rolled into the broader review

Public Comment Throughout 2011, CME has seized every opportunity to be heard as the voice of the minerals and energy sector and has actively pursued new opportunities to gain media exposure on behalf of members. This led to a dramatic increase in media mentions as the strength of the resources sector took centre stage in the public arena.

An analysis of media coverage gained by CME over the past year shows the generation of 3,347 reports related to industry across television, radio, print and online coverage, with key messages potentially reaching more than 68million people.

This represents a 64 per cent increase on the 2,043 mentions in 2010.

Television was the leading media platform with 42 per cent of coverage at 1,405 reports. Sky Business News and ABC were the leading television stations.

There were 823 print reports up from 321 in 2010. The Kalgoorlie Miner was once again the leading publication with 133 articles.

The level of interest in the WA resources sector, along with issues like the Heritage Listing of the entire West Kimberley region, saw national print media coverage gain 297 reports and a further 132 in regional east coast publications.

Radio continued to be a strong outlet for the CME message with 1,119 radio reports generated. ABC Goldfi elds was the leading radio station.

Transcripts and audio of radio interviews conducted by the CME team are now available on the CME website and have proven to be a useful resource for members and the media, generating 150 views on average.

CME has also entered the world of social media with a Twitter page (@CMEWA) which gained more than 150 followers in a few short months.

Gaining media coverage for industry opinion, events, initiatives and training is one area in which CME has excelled over the reporting year and

indeed the past two years, actively advocating for our members in the public arena and raising awareness of industry’s stance in matters of major policy.

Opinion Editorial pieces by Chief Executive Reg Howard-Smith have appeared monthly in The West Australian Business section since August 2011 and similar opportunities have been secured in the Geraldton Guardian and Kalgoorlie Miner. Publications such as the quarterly WA Resources and Economics Reports, State Growth Outlook Study, FIFO advocacy document, WA Resource Sector Diversity Survey, the Employment and Population Growth Outlook for the North West gained signifi cant media attention.

29 30

North West Region Following on from the release of the draft Pilbara Planning and Infrastructure Framework paper for consultation by the Western Australian Planning Commission (WAPC), CME worked with members in the North West region to develop a comprehensive submission during May 2011. During this time, CME engaged directly with the Department of Planning and the Pilbara Regional Planning Committee to ensure an industry perspective was prevalent throughout the document. Now the Framework has been fi nalised and released, CME is continuing to push for the development of an implementation plan, to prioritise future state government investment its commitment to the delivery timetable for strategic infrastructure.

The Pilbara Health Initiative (PHI) has proven an excellent example of government and industry working together towards a common goal in a regional area. The PHI is a fi ve year partnership between the State Government’s Royalties for Regions program and CME’s Pilbara Industry’s Community Council (PICC). Members of the PHI include BHP Billiton Iron Ore, Chevron Australia, North West Shelf Joint Venture, Rio Tinto and Woodside Energy.

Very pleasingly, the PHI has made signifi cant progress in boosting health services in the Pilbara since the innovative $38.2 million five-year partnership was announced two years ago, with many outcomes being reached in the 2011-12 period. Achievements have included an increase in medical specialists, paramedic services, new hospital equipment, an increase in Aboriginal staff and the introduction of Aboriginal Liaison Offi cers in emergency departments. In addition, more than 200 staff in the Pilbara received emergency management training, nearly 3500 scans have been completed on Nickol Bay Hospital’s new CT scanner, and children across the West Pilbara are receiving timely paediatric care.

The PHI funded Indigenous Employment Program (IEP) is rapidly becoming the benchmark for Aboriginal engagement, training and leadership in health across Western Australia. Indeed, the IEP has worked to improve engagement with the Aboriginal

These documents, as well as events such as the emergency response challenges and the Women in Resources Awards, assisted in positioning CME as a leader in public comment on behalf of industry in 2011.

Synthetic drugs hit the headlines in early 2011 and CME stepped up to comment on the potentially devastating impact the drug would have on the safety and integrity of the industry. WA was subsequently the fi rst Australian state to ban the synthetic drug, which would not have been possible without the widespread media coverage and political and industry debate surrounding the issue.

Actively contributing to discussions on the Federal Government’s Carbon Pricing Mechanism and Mineral Resources Rent Tax (MRRT) was also a priority in 2011. Throughout the year CME was at the forefront of public discussion, raising awareness and leading the charge against these much-debated government policies. Regrettably, and despite our best efforts, both the Carbon Tax and the MRRT will be implemented from mid 2012.

Nurturing and maintaining relationships with government figures was also a chief concern for CME over the year. The newly appointed Director General of the Department of Indigenous Affairs, Cliff Weeks, was given a tour of the Mid West region, Hon Troy Buswell MLA was briefed regarding the Mid West Infrastructure Plan and WA Labor party representatives went on a familiarisation tour of mines, ports and industrial sites. CME also assisted high profi le visitors by facilitating regional tours to operating sites. Amongst these were Hon Tony Abbott MP, Hon Julie Bishop MP, Hon Malcolm Turnbull MP and Senator the Hon Chris Evans.

CME’s annual media tour hosted seven journalists from WA and interstate for a three day trip to the Pilbara, visiting numerous operations to broaden their understanding of the resource

sector. The familiarisation tour incorporated mining, processing and transportation as well as a fi rsthand look at training and accommodation facilities in remote communities.

CME also hosted a group of cadet journalists from The West Australian on a two-day tour of South West sites. Members provided background briefi ngs on the alumina, coal and minerals sands operations.

The successful CME Public Affairs Roundtable for media community affairs professionals within member companies continued and will be a quarterly feature in 2012.

31 32

community and has increased the number of Aboriginal health staff beyond expectations. In addition to providing 14 scholarships to support Aboriginal staff continue their studies, the IEP has also conducted leadership and cultural awareness training, as well as organising the region’s fi rst Open Space Forum on Aboriginal health.

The PHI-funded Aboriginal Liaison Offi cers (ALO), based at Newman and Port Hedland hospitals, have also proven successful, having assisted more than 1800 Aboriginal people presenting at the emergency departments since December 2010.

PICC also collaborated with Creating Communities to develop a set of guiding principles for the operation of fl y-in fl y-out (FIFO) workforce

accommodation for its member companies. The advocacy document, published in early 2012, showcased resource companies providing high quality worker accommodation, identifi ed positive aspects of the FIFO lifestyle and developed strategies to limit potential adverse impacts on local communities.

In addition, PICC has also been working with PricewaterhouseCoopers to establish an employment and population outlook report for the Pilbara region, through to 2020. The report will be published in mid 2012 and will

include information regarding direct and indirect employment, general population growth and land and housing adequacy to assist in informing government of the needs of our industry, and as a platform for further advocacy.

Significant challenges, predominantly in the form of demand for new transport related infrastructure, continued to be experienced in the North West during 2011-2012. CME’s North West Regional Council met quarterly to discuss these concerns, in addition to the need for improved planning for infrastructure delivery and the reduction of land and housing costs. The Council also conducted several high profi le meetings and tours throughout the region during August 2011. A key participant was the Minister for Energy, Training and Indigenous Affairs, Hon. Peter Collier, who has engaged with the Regional Council and committed to working with industry to advance training and energy planning.

CME lodged a submission to the Australian Defence Force Posture Review. CME is advocating for an increased defence force presence in the North West, corresponding with the need to secure and protect vital strategic economic infrastructure in the region.

Eastern Region In May 2011 CME’s Eastern Region Surface Mine Emergency Response Competition reached a significant milestone, celebrating its 100 year anniversary. Held at the Mining Hall of Fame in Kalgoorlie, the winners were officially announced at a presentation night attended by the Hon. Norman Moore MLC, Minister for Mines and Petroleum, Fisheries and Electoral Affairs. A demonstration of industry skill and excellence in the field of mine rescue, the century-long tradition was once again a successful event. In addition, the underground emergency response competition was held in November at Kalgoorlie Consolidated Gold Mines’ Mt Charlotte operations.

For the third year running, CME teamed up with the WA School of Mines, local mining companies, and Goldfields Esperance Development Commission for the Girls Exploring Mining Forum (GEM). Held in August, GEM attracted more than 180 teenagers from across the Goldfields. The forum created awareness and interest for career paths in the mining industry, in areas such as geology, metallurgy, mine rescue and environment. During

the event, the girls were encouraged to learn more about fire-fighting activities, explore a simulated underground mine and pan for gold. Formerly known as the Women in Mining Forum, GEM has been run in Kalgoorlie by the Goldfields Education Mining Industry Alliance for the past three years and has received a high level of support and positive feedback from both the mining industry and the local community.

The Gold Stealing Detection Unit (GSDU) ran Operation Minesweep in May 2011. The week long random search of fly-in fly-out workers at Perth airport was designed to proactively target the trafficking of drugs and explosives to and from gold mines. During the initiative, 3758 passengers and 2831 bags were examined by drug and explosive detection dogs on flights departing to and arriving from mine sites throughout WA and the Northern

35 36

Territory. The operation was conducted with the assistance of offi cers from the Australian Federal Police, Australian Customs Service and the WA Police Canine Unit. Fewer arrests than in previous years refl ected positively on the gold mining sector and the efforts made by sites to reduce the use of illicit substances in the interests of safety and overall mine site integrity.

The Eastern Regional Council held several industry dinners over 2011, featuring presentations from invited guests to update and inform members on relevant issues. The dinners have become an important tool for fostering relationships, networking and engaging relevant stakeholders with industry.

CME President Greg Lilleyman and Chief Executive Reg Howard-Smith were present among the families, politicians and members of industry who attended the 2011 Miners Memorial event. The annual memorial is held in Kalgoorlie at the start of December to pay tribute to miners who have lost their lives in the line of work. As a positive

refl ection on industry safety, we are very pleased to report that no mining deaths were recorded in the Eastern region in the preceding twelve months. In collaboration with the Goldfi elds Esperance Development Commission and industry, CME helps to support and organise the Miners Memorial.

Our annual What’s Down the Track? forum in October was co-hosted by CME, Kalgoorlie-Boulder

Chamber of Commerce and Industry and the Goldfi elds Esperance Development Commission. Once again, the half day forum showcased emerging and developing industries, projects and infrastructure in the Goldfi elds. More than 180 members of the local community attended the event.

37 38

Mid West Region Over the past year the Mid West Regional Council (MWRC) met regularly to discuss CME’s work in important areas including water, mine site gross rental values, proposed new taxes and resource skills training initiatives. The meetings were well attended and included several engaging guest speakers.

In 2011 the MWRC welcomed the Western Australian Planning Commission’s release of the draft Mid West Regional Planning and Infrastructure Framework document. CME was active in making a submission to the Department of Planning following the release of the Framework Plan which identifi ed infrastructure needs in the region, in categories of importance.

A highlight for the region was the offi cial opening of the Geraldton Museum’s Unearthed Exhibition, a historical display of mining in the Mid West, attended by the Hon. John Day MLA, Minister for Planning; Culture and the Arts, Science and Innovation. The MWRC supported the museum in the production of the exhibition.

In July CME made a submission to the Department of Water in response to their Mid West Status Report on water resource capacity. Water allocation, access and licensing were issues of concern to both CME members and the region’s community. CME advocated on behalf of members in meetings with the Department of Water and continues to push for the Mid West Water Plan to be completed. In addition, CME represented industry in the Department of Water’s Mid West Regional Water Plan Working Group and is expecting the fi nal plan to be released in mid-2012.

The newly appointed Director General of the DIA, Cliff Weeks was given a tour of the Mid West region in November to meet with the MWRC and visit local operations.

39 40

Also in November, CME conducted its annual Mid West Region familiarisation tour for members of parliament. CME gave representatives from the WA Labor Party an informative look at the rapidly expanding region and provided the opportunity for them to see fi rst-hand the scale of development and the issues facing companies establishing projects in the region.

In addition, CME promoted its Mid West Infrastructure Plan to key State Government Ministers, including via a presentation to the Hon Troy Buswell MLA, Minister for Transport; Housing and Emergency Services, to assist him to gain an understanding of the resource sector’s concerns regarding transport infrastructure needs in the region.

More than 1000 local secondary students and adults participated in Geraldton’s Careers Expo. The full day event was supported by industry and CME assisted by presenting information on a wide range of prospective career opportunities in mining and supporting industries.

For the second year running, CME attended the Cue Parliament, where Chief Executive Reg Howard-Smith gave a presentation on CME’s advocacy activities over the past 12 months. The presentation focused on taxation and fi ndings of CME’s State Growth Outlook, which highlighted the significant increases in demands for key enablers of growth such as energy, water and people. This included the highest rate of demand for labour force growth in the Mid West, above any region in Western Australia. As a result, CME is working hard to assist the government, on behalf of industry, to address these key areas to ensure the sustainable development of the resources sector in the Mid West.

CME was pleased to participate in meetings organised by Mid West members regarding the Mid West Region’s Square Kilometre Array telescope (SKA) project. CME contributed and supported members’ concerns regarding the radio quiet zone around the project. The Mid West SKA members are continuing to meet with key federal agencies to work through these issues towards a satisfactory and sustainable resolution for industry.

41 42

95%96673 Oil and gas mine sites*

Sources:

*Department of Mines and Petroleum, based on the 2010-2011 financial year.

The value of the State’s merchandise export earnings were contributed by the minerals and energy industry*

Operating mine sites*

South West Region In a new development for the South West, CME has been working in collaboration with members and stakeholders to develop an education program for both primary and secondary schools in the region. The South West Regional Council was keen to begin developing the program after a workshop in February 2011 confi rmed both an interest and a need to collaborate with regional schools. The program will contribute to school curriculums from a mining industry perspective, assist in building vital community relationships and provide career advisory sessions and information for students and parents alike. Although this program will offi cially be launched during the next reporting year, a signifi cant amount of preparatory work has been undertaken during 2011/2012.

CME has focused on advocacy work for the Bunbury Infrastructure Project. Representing South West members in this priority area, CME has been involved in a syndicate working towards gaining funding for the Roads to Export project. Roads to Export aims to identify bottlenecks in port, road and rail infrastructure in order to determine the best way to undertake upgrades and expansion of these vital services in the South West.

Access to water in the South West has been an ongoing concern for members. CME is dedicated to fi nding sustainable solutions to this issue and has been facilitating ongoing discussions over the past year to provide a platform for industry to meet and converse about the issues surrounding this precious resource and its limited supply. CME is committed to assisting members to meet their water needs and to support industry collaboration around this issue.

The environmental approvals process continues to present challenges for CME members, not only in the South West but across Western Australia. In May 2011, CME lodged an appeal against the Environmental Protection Authority’s decision rejecting the Vasse Coal Project. The appeal was based on the grounds it may sterilise development in a region and on consideration of issues outside the EPA’s decision-making authority. CME has continued to work with member companies, government and local agencies towards the best solution.

The WA Government is in the process of implementing a number of recommended reforms including the development of tracking systems for applications, the reporting of agency performance and the development of outcome-based conditions of approval. The resource sector is confident appropriate approval reform can enhance environmental standards and integrity of process, while delivering better regulatory effi ciency and effectiveness.

The past year gave CME the opportunity to continue to educate the South West community and raise awareness of the contribution of the resources sector within the region. Looking forward, the industry’s image and how it affects the South West region will continue to remain a focus for CME during the year ahead.

Kimberley Region A central issue facing industry in the Kimberley has been the Federal Government’s West Kimberley National Heritage Listing. The CME team was highly focused on this issue; advocating on behalf of our members, developing two submissions and meeting with key politicians in Canberra. However despite a very proactive strategy to articulate members’ concerns, Hon. Tony Burke MP, Minister for Sustainability, Environment, Water, Population and Communities announced the heritage listing in August.

Significant challenges facing businesses operating in the Kimberley have included infrastructure issues, labour shortages, Indigenous employment, transport, education and health.

Both the State and Federal Governments and industry have identifi ed a lack of infrastructure as a barrier to growth in the region. CME identifi ed that a more integrated industry view would provide a foundation for further discussion around this issue. CME engaged Ernst & Young in late 2011 to complete a Kimberley Region Infrastructure Analysis. A full report was produced, identifying priority projects and social infrastructure requirements for the region. This report has formed the basis of CME’s engagement strategy to advocate for a large increase of investment in the region’s infrastructure from government.

The need for improved planning in delivering infrastructure and reducing the cost of land and housing in both the Kimberley and Pilbara is well recognised. CME concentrated heavily on advocating to government for the release of extra land to help ease the pressure on escalating property prices, with a focus on making accommodation more affordable, particularly in Broome.

Indigenous employment has been a key topic over the past year. CME undertook work to update our successful Partners in Progress publication, tailored to the Kimberley region. The publication will showcase the initiatives member companies in the Kimberley are implementing to increase the attraction and retention of Indigenous employees in the region. We have also worked closely with the Broome Aboriginal Workforce Development Centre as part of a strategy to broaden our approach to Indigenous employment.

The South West Emergency Response Competition was held in October, providing local operations an opportunity to practice their skills. As well as being a chance to share information, techniques and best practice between companies, the event provides an opportunity for community involvement with over 200 people attending to watch the various emergency response scenarios.

CME has been addressing an issue within the South West relating to apprenticeship training. The South West Institute of Technology (SWIT) has experienced challenges in securing electrical apprenticeship lecturers, which resulted in apprentices travelling to Pinjarra and Perth to attend courses. CME hosted meetings in Bunbury in early 2012 with SWIT representatives, local stakeholders and CME members. The issue has been addressed in the short term and the required lecturers have been appointed. Most importantly, SWIT, local industry and businesses are working collaboratively to ensure communication continues, to secure quality apprenticeship training in the region.

47 48

Breakfast with Tim Flannery and Climate Commission (Perth)

Membership sundowner, Shell Prelude Presentation (Perth)

Membership sundowner, Greg Lilleyman, CME President (South West)

Familiarisation tour, Federal and State Treasury (Pilbara)

Executive Council meeting and dinner with State Government Directors-General, Topic: Approvals (Perth)

Familiarisation tour, West Australian Newspaper Cadets (South West)

Familiarisation tour, State Labor Party (Pilbara)

Executive Council meeting and dinner with State Government Directors-General (Perth)

North West Member Sundowner, Greg Lilleyman, CME President and Steve Webster, Pilbara Development Commission (Pilbara)

Membership sundowner, Richard Muirhead, CHOGM Presentation (Perth)

Dinner with visiting delegation of Indian Journalists (Perth)

Dinner with Paul Kelly, Editor of the Australian (Perth)

Reduce and Renew Seminar (Perth)

Launch of 2012 Innovation Awards and Women in Resources Awards (Perth)

Membership sundowner, Richard Sellers, Director General, Department of Mines and Petroleum (Mid West)

Familiarisation tour, State Labor Party (Mid West)

Familiarisation tour, State and National media, (Pilbara)

Mid West Tour, Cliff Weeks, Director General, Department of Indigenous Affairs (Mid West)

Annual General Meeting and Lunch 2011, Hon. Norman Moore MLC, Minister for Mines and Petroleum; Fisheries; Electoral Affairs and Hon. Martin Ferguson MP, Minister for Resources; Energy; Tourism (Perth)

State Growth Outlook Launch, Hon. Peter Collier MLC, Minister for Energy; Training and Workforce Development; Indigenous Affairs (Perth)

Synthetic Drugs Information Session, Panel of speakers (Perth)

Membership sundowner, Hon. Christian Porter MLA, Treasurer, Attorney General (Perth)

People Strategies portfolio sundowner, Dr Ruth Shean, Director General, Department of Training Workforce Development (Perth)

Management Committee dinner with Labor party representatives (Perth)

Executive Council dinner with Professor Ross Garnaut, Economist (Perth)

Environment portfolio sundowner, Hon. Bill Marmion MLA, Minister for Environment; Water (Perth)

Familiarisation tour, African Delegation (South West)

Events & Activities

49 50

Christmas Celebration, Hon. Peter Collier MLC, Minister for Energy; Training and Workforce Development; Indigenous Affairs and Hon. Kate Doust MLC, Deputy Leader of the Opposition in the Legislative Council, Shadow Minister for Energy; Science and Innovation (Perth)

Membership sundowner, Greg Lilleyman, CME President (Kalgoorlie)

Land Access portfolio sundowner, Hon. Peter Collier MLC, Minister for Energy; Training and Workforce Development; Indigenous Affairs (Perth)

Annual Media Sundowner (Perth)

NIEF Tour, Focus on closure, mine rehabilitation and land use planning conflicts. (South West)

Familiarisation tour, German Parliamentary Delegation (South West)

Membership sundowner, Brad Geatches, Chief Executive, Perth Airport (Perth)

Fast Track Program Presentation Ceremony (Perth)

Breakfast presentation of CME Women in Resources Awards (Perth)

Executive Council meeting and dinner with State Government Directors-General, Topic: Workforce Diversity (Perth)

Occupational Safety and Health Conference (Perth)

April

Model Work Health and Safety Regulations to Safe Work Australia

Industry Guide Setting the boundary of prescribed premises to the Department of Environment and Conservation

Industry Guide Determining whether a works approval is required to the Department of Environment and Conservation

Industry Guide Wet commissioning under a works approval to the Department of Environment and Conservation

Local Government Ratings of Resource Projects to the Premier of WA (jointly with the Association of Mining and Exploration Companies)

Revised Mine Closure Guidelines to the Department of Mines and Petroleum

Ports Review to the Department of Transport

Policy Transition Group report to the Resource Tax Implementation Group

Energy Coordination Regulations to the Office of Energy

Draft Kimberley Profile to the Department of Planning

WA Biodiversity Offsets Policy to the Department of Premier and Cabinet

EPBC Referral Guidelines on the Northern Quoll to the Department of Sustainability, Environment, Water, Population and Communities

Federal Governments initial design of proposed carbon pricing mechanism to the Senate Select Committee

Preferred Option on Mining Securities to the Department of Mines and Petroleum

Strategic Energy Initiative Directions Paper to the Office of Energy

WAPC Pilbara Planning and Infrastructure Framework to the Department of Planning

Rangelands Tenure Options Discussion Paper to the Department of Regional Development and Lands

Proposed Amendments to the Environmental Protection (Noise) Regulations to the Department of Environment and Conservation

Proposed Amendments to the National Pollutant Inventory to the Department of Environment and Conservation

May

Perup Draft Management Plan to the Department of Environment and Conservation

Amendments to the Petroleum (Submerged Lands) Act 1982 to the Department of Mines and Petroleum

Status report – capacity of water resources in the Mid West to meet mining and industrial growth to the Department of Water (WA)

Nickel exports through Esperance Port to the Minister for Transport

Rural Planning Policies: Development control policy 3.4 and State Planning Policy 2.5 to the WA Planning Commission

June

Submissions & Reports 2011

CME has lodged submissions on the:

52

Infringement Notice Scheme to the Commission for Occupational Health and Safety

Occupational Health and Safety Amendment Bill 2010 Industrial Manslaughter to the Department of Mines and Petroleum and the Minister for Finance

MRRT preliminary exposure draft legislation and explanatory memorandum to the Treasury (jointly with the Minerals Council of Australia)

Non Core National Mine Safety Framework (NMSF) Non Core Drafting Instructions to the Department of Resources, Energy and Tourism

MRRT preliminary exposure draft legislation and explanatory memorandum to the Department of Treasury

Mines safety levy budget allocation and reporting of expenditure to the Department of Mines and Petroleum

Non Core NMFS to the Department of Resources, Energy and Tourism

Draft Guide to Register of Places and Objects to the Department of Premier and Cabinet and Department of Indigenous Affairs

Legislative reform to the Department of Mines and Petroleum

Performance Review of Department of Indigenous Affairs to the Department of Indigenous Affairs

Greens Native Title Amendment Reform Bill to the Senate Standing Committee on Legal and Constitutional Affairs (jointly with national selection of industry Council/Chamber bodies)

Work Health and Safety Legislative reform to the Department of Resources, Energy and Tourism, Department of Commerce and the Department of Mines and Petroleum

Carbon Farming Initiative - Indigenous Participation - enabling Indigenous participation: native title and land rights land issues to the Department of Climate Change and Energy Efficiency

Exposure draft legislation to the Department of Climate Change and Energy Efficiency (jointly with the Minerals Council of Australia)

July

HIV Surge among Mineworkers to the AMA

Guidelines for conservation management plans relating to mineral exploration on lands managed by the Department of Environment and Conservation to the Department of Environment and Conservation

Ministerial discretion for exemption for Compulsory Parital Surrender to the Mining Industry Liaison Committee

Constitutional recognition of Aboriginal and Torres Strait Islanders to the AIATSIS (comments provided for inclusion in the Minerals Council of Australia’s submission)

Model WHS Mines regulations and Code of Practice (CME Supplementary Submission) to Safe Work Australia

Model WHS Mines regulations and Code of Practice to Safe Work Australia (jointly with national selection of industry Council/Chamber bodies)

Legislative package to the Senate Select Committee to the Joint Select Committee on Australia’s Clean Energy Future Legislation

Strategic Energy Initiative (SEI) Recommendations Paper to the Office of Energy

MRRT exposure draft legislation and explanatory memorandum to the Treasury (jointly with the Minerals Council of Australia)

Commonwealth Parliament Inquiry into FIFO practices to the House of Representatives Standing Committee

Work Health and Safety Bill to the Department of Commerce

Model WHS Mines regulations and Code of Practice to Safe Work Australia (jointly with national selection of industry Council/Chamber bodies)

Australian Defence Force Posture Review to the Australian Defence Force

Stakeholder Consultation Paper on Future CoAG Regulatory Reform Agenda (Seamless National Economy) to the Department of Finance and Deregulation

EPBC Biodiversity Policy to the Department of Sustainability, Environment, Water, Population and Communities

EPBC Offset Policy to the Department of Sustainability, Environment, Water, Population and Communities

MRRT Policy to the Department of Resources, Energy and Tourism

MRRT policy to the Minister for Resources and Energy

August

September

October

Sustainable Mining Section of Department of Resources, Energy and Tourism to the Department of Resources, Energy and Tourism

Economics of the MRRT legislation to the House of Representatives Standing Committee on Economics

Economics of the MRRT legislation to the Senate Standing Committee on Economics

Discussion paper review of first-in first-served policy to the Department of Water

Water Services Regulations Issues Paper to the Department of Water

2012-13 Pre-Budget Submission to the Federal Treasurer

2012-13 Pre-Budget Submission to the State Treasurer

Greens’ EPBC Water Amendment Bill to the Senate Standing Committee on Rural Affairs and Transport

Review of Heritage of WA Act 1990 to the Heritage Council

Review of Country Local Government Fund to the Regional Development Trust

EPBC Cost Recovery Proposal to the Department of Sustainability, Environment, Water, Population and Communities

Senate Committee Inquiry into the shortage of Engineers and related professions to the Education, Employment and Workplace Relations Senate Committee

Minor Review of the EIA Administrative Procedures 2010 to the Office of the Environmental Protection Authority

National Pricing Framework - Independent Hospital Pricing Authority to the Independent Hospital Pricing Authority

November

DecemberFebruary

2012

53 54

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ContractorBarminco LtdBGC ContractingByrnecut Australia Pty LtdDowner EDI MiningLeighton Contractors Pty LtdMacmahon Contractors Pty LtdMonadelphous Group LtdRCR Tomlinson LtdThiess Pty LtdWesTrac Pty Ltd

Energy Generation and DistributionDampier Bunbury PipelineERM Power LtdTransAlta Energy (Australia) Pty LtdWestern Power

ExplorationAlkane Resources LtdAnglo American Exploration (Australia) Pty LtdBauxite Resources LtdDoray Minerals LtdFlinders Mines LtdFMR Investments Pty LtdHeron ResourcesKBL Mining LtdKimberley Rare Earths LtdMacarthur MineralsMacPhersons Reward Gold LtdMega UraniumNorthern Minerals LtdPaladin Energy LtdPluton Resources LtdPTT Asia Pacific Mining Pty LtdSalmon River ResourcesStraits Resources LtdTroy ResourcesVector Resources Ltd

Mineral ProductionAditya Birla Minerals Ltd (Australia)Alacer Gold Corp.Alcoa of Australia LtdAngloGold Ashanti Australia LtdAtlas Iron LtdBarrick (Australia Pacific) LtdBemax Resources LtdBHP Billiton Iron OreBHP Billiton Stainless Steel MaterialsBHP Billiton Worsley AluminaCliffs Natural ResourcesConsolidated Minerals Pty LtdCrosslands Resources LtdDoral Minerals Sands Pty LtdEvolution MiningFirst Quantum Minerals (Australia) Pty LtdFocus Minerals LtdFortescue Metals Group LtdGalaxy Resources LtdGold Fields Australia Pty LtdIluka Resources LtdIntegra Mining LtdKalgoorlie Consolidated Gold Mines Pty LtdKalgoorlie Mining Company (Bullant) PtyKentor Gold LtdKimberley Diamond Company NLKingsgate Consolidated Ltd t/as Dominion Gold OperationsLa Mancha Resources Australia Pty LtdLanco Resources Australia Pty LtdMinara Resources LtdMincor Resources NLMinerals and Metals Group (MMG)Moly Mines LtdNavigator Resources LtdNewcrest Mining LtdNewmont Asia PacificNorseman Gold Plc.

Northern Star Resources LtdNorton Gold Fields LtdOnslow Salt Pty LtdPanoramic Resources LtdPremier Coal LtdRamelius Resources LtdRegis Resources LtdRio TintoSaracen Mineral Holdings LtdShark Bay Resources Pty LtdSilver Lake Resources LtdSinosteel Midwest Corporation LtdSt Barbara LtdStone Resources Australia LtdTalison Lithium LtdTanami Gold NLTiwest Northern OperationsXstrata Nickel Australasia

Oil and Gas Production and Downstream ProcessingBHP Billiton PetroleumWoodside Energy Ltd

Project DevelopmentAPI - The Australian Premium Iron Joint VentureCameco Australia Pty LtdChevron AustraliaCITIC Pacific MiningGindalbie Metals LtdGolden West ResourcesGrange Resources LtdLD Operations Pty LtdLynas Corporation LtdMagellan Metals Pty LtdMineralogy Pty LtdOakajee Port and RailPhillips River Mining LtdRey Resources LtdShell Development (Australia) Pty LtdToro Energy Ltd

Our Members

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Chris Alexander Executive Offi cer, Infrastructure *

Sonia Beggs Administration Assistant, Gold Stealing Detection Unit *

Damian Callachor Director

Bruce Campbell-Fraser Executive Offi cer, People Strategies

Linda Crook Executive Offi cer, Eastern Region

Fiona Cross Project Offi cer, Occupational Safety and Health

Susan Cull Senior Project Offi cer, People Strategies

James Edwards Executive Offi cer, Tax & Economics

Brent Fleeton Project Offi cer, Land Access and Kimberley

Katherine Flower Executive Offi cer, Mid West Region *

Joanna Friend Trainee Administrative Assistant *

Kathy Gecan Project Offi cer, People Strategies

Shannon Hayes Administration Assistant, Gold Stealing Detection Unit *

Nigel Haywood Executive Offi cer, RITC *

Graeme Healey Executive Offi cer, Membership

Reg Howard-Smith Chief Executive

Lisa Jones Bookkeeper *

Amanda Joseph Project Offi cer, Environment

Jessica Martin Project Offi cer, Infrastructure and Economics

Hiten Mehta Accountant

Rochelle Morris Executive Assistant

Kane Moyle Executive Offi cer, Environment

Sarah Newbold Project Offi cer, People Strategies

Warren Pearce Executive Offi cer, North West Region

Nicole Roocke Director

Jennifer Rumbles Project Offi cer, RITC

Jasmin Slingsby Events and Communications Coordinator

Renae Soutar Executive Assistant *

Denise Spalding Administration Offi cer, Gold Stealing Detection Unit *

David Todd Executive Offi cer, Occupational Safety and Health

Erin van Noort Executive Offi cer, South West Region

Joanne Webber Executive Offi cer Media and Public Affairs

Andrew Winter Executive Offi cer, Land Access

*Absent in photograph

Our Team

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Financial Summary The Special Purpose Financial Report for the Chamber of Minerals and Energy of Western Australia Inc. for the financial year ended 31 December 2011 has been made available to members at the Annual General Meeting on Tuesday 1 May 2012 in accordance with CME’s constitution and the Associations Incorporation Act 1987. The financial report is also available for member companies upon request.

Photography CME thanks the following companies for supplying photographs which appear throughout this publication: Alcoa of Australia, BHP Billiton Iron Ore, Downer EDi, Goldfields Australia, Iluka Resources Limited, Navigator Resources, Rio Tinto Iron Ore, Sinosteel Midwest, Woodside.

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